MALAYSIA’ S EFFORT TOWARDS

1

MALAYSIA’ S EFFORT TOWARDS

ZERO DEFORESTATION

by

DATO’ DR. JALALUDDIN HARUN FAScDIRECTOR GENERAL

MALAYSIAN TIMBER INDUSTRY BOARD (MTIB)

INTERNATIONAL SYMPOSIUM ON THE DEFORESTATION

FREE GLOBAL SUPPLY CHAIN TO HALTING DEFORESTATION

23-24 JANUARY 2018

TOKYO, JAPAN

2

OUTLINE

INTRODUCTION

MALAYSIA’S COMMITMENT AT INTERNATIONAL LEVEL

ACTIVITIES TOWARDS ZERO DEFORESTATION

CHALLENGES IN CARRYING OUT ZERO DEFORESTATION

CONCLUSION

3

INTRODUCTION

Malaysia:

is committed to the concept of sustainable development whichaddresses issues relating environment’s protection & preservation andalso how to ensure environmental issues are not abused by certainquarters to perpetuate their vested interests.

played its due role both at regional and international level to promoteworld development that is well-balanced with the environment

made significant contributions to Langkawi Declaration on theEnvironment adopted by the Commonwealth Heads of Governmentmeeting in 1989. It commits the Commonwealth to an active role inprotecting natural balances and preventing environmentaldeterioration.

4

INTRODUCTION

In terms of forest conservation and management, Malaysia’s tropicalrainforests cover over 50% of its total land area of 33.03 million ha

If we consider total areas under both forest and tree crops such as Oil palm& Rubber, it is over 70%

Under the Federal Constitution, forest and land is under the jurisdiction ofthe respective State Governments

Total forested area (2015):Permanent Reserved Forest (PRF) : 14.55 million ha State land forest (SL) : 1.86 million haProtected areas : 1.86 million haTotal forested areas : 18.27 million ha

Malaysia is committed to implement Sustainable Forest Management (SFM)

Continuation….

5

Table 1: Forested Areas in Malaysia (1990-2015)

Year Permanent Reserve

Forest

(mil ha)

State land Forest

(mil ha)

Protected Areas

(mil ha)

Total Forested Area

(mil ha)

Percentage of forest

cover

( % )1990 12.49 5.23 1.06 18.78 56.91991 12.55 5.03 1.13 18.71 56.71992 12.50 4.96 1.13 18.59 56.41993 12.46 4.98 1.13 18.57 56.31994 12.65 4.19 1.13 17.97 54.51995 12.61 4.22 1.13 17.96 54.41996 14.28 1.99 1.83 18.10 54.91997 14.33 2.31 1.83 18.47 56.01998 14.33 2.24 1.83 18.40 55.81999 14.45 2.16 1.83 18.44 55.92000 14.43 1.94 1.83 18.20 55.22001 14.44 1.83 1.83 18.10 54.92002 14.43 1.78 1.83 18.04 54.72003 14.42 1.77 1.83 18.02 54.62004 14.40 1.74 1.83 17.97 54.52005 14.43 1.52 1.86 17.81 54.02006 14.45 1.48 1.86 17.79 53.92007 14.42 1.43 1.86 17.71 53.72008 14.41 1.41 1.86 17.68 53.62009 14.54 1.32 1.86 17.71 53.72010 14.53 1.55 1.86 17.93 54.42011 14.52 1.55 1.86 17.93 54.42012 14.50 1.55 1.86 18.01 54.62013 14.55 1.65 1.86 18.06 54.82014 14.55 1.86 1.86 18.27 55.42015 14.55 1.86 1.86 18.27 55.4

Source: Ministry of Natural Resources & Environment, Malaysia (updated 2016)

6

Figure 1: Global Agriculture Land Area And Malaysian Palm Oil

7

Total planted area 5.74 million ha

(17% of land area, 52.5% of agriculture land)

40% of oil palm planted areas are under smallholdings

Provide income to more than 650,000 smallholders

8.6% of total merchandise export

USD16.3 billion of export earnings

More than 2 million job opportunities

Important

pillar of

agriculture

sector

Important

source of

employment

Tool for

poverty

eradication

Average monthly gross income of oil palm

smallholders in 2016 – RM3,154.06

THE IMPORTANCE OF PALM OIL INDUSTRY

8

A HIGHLY REGULATED INDUSTRY

Land Matters:

• National Land Code 1965

• Land Acquisition Act 1960

Environmental Matters:

• Environmental Land Conservation Act

1960 revised in 1989

• Quality Act 1974 (Environmental Quality)

(Prescribed Premises) (Crude Palm Oil)

Regulation 1977

• Environmental Quality (Clean Air)

Regulation 1978

• Environmental Quality (Prescribed

Activities) (Environmental Impact

Assessment) Order 1987

Labour and Employees Matters:

• Labour Law

• Workers’ Minimum Standard of Housing & Amenities Act 1990

• Occupational Safety & Health Act 1977

• Factories & Machinery (Noise Exposure) Regulations 1989

Pesticide Use:

• Pesticides Act 1974 (Pesticides Registration) Rules 1988

• Pesticides (Licensing for sale & storage) Rules 1988

• Pesticides (Labeling) Regulations 1984

Wildlife Matters:

• Protection of Wildlife Act 1972

Malaysian Palm Oil Industry is subjected to more than 60 regulations

9

Malaysia’s Commitment at International Level

To name a few, Malaysia is signatories to:

Convention on International Trade in Endangered Species of WildFauna and Flora (CITES) [1977]

World Heritage Convention [1988] Conservation on Biological Diversity (CBD) [1994] United Nations Framework Convention on Climate Change (UNFCCC)

[1994] Convention on Wetland of International Importance especially as

Waterfowl Habitat (RAMSAR) Convention [1994] International Tropical Timber Agreement (ITTA – ITTO) [1995] United Nations Forum on Forest (UNFF) [2000] Kyoto Protocol to the UNFCCC (Kyoto Protocol) [2002] Cartagena Protocol on Biosafety to CBD [2003]

10

Activities Towards Zero Deforestation

1) Certified Forest Areas & Timber Products under Malaysian

Timber Certification Scheme (MTCS) : 2001

MTCS is a forest certification scheme developed & operated by the MalaysianTimber Certification Council (MTCC), a national governing body for timbercertification in Malaysia.

It provides for independent assessment of forest management practices toensure the sustainable management of Malaysia’s natural forest, forestplantation and community owned forests, as well as to meet the demand forcertified timber products.

MTCS is the first tropical timber certification scheme to be endorsed byProgramme for the Endorsement of Forest Certification (PEFC) in South East Asiaregion.

11


Certified Forest Areas & Timber Products under MTCS

MTCS comprises 2 components, i.e., Forest Management Certification andChain of Custody Certification

Certified forest areas: Under MTCS, 8 Forest Management Units (FMUs) & 2Forest Plantation Management Units (FPMUs) covering 3.97 million ha andunder FSC covering 629,348 ha

The certified forest areas represents 13 percent of the world’s tropicalforests which have been certified.

Certified companies: 356 timber manufacturers and exporters

MTCS-certified timber products, mainly sawn timber, plywood, mouldings &laminated finger-jointed timber, have been exported to more than 30 majorcountries particularly to Europe, Australia, Japan, Middle East, New Zealand &USA. India and South Africa have also accepted these timber products.

Continuation….

12


2) Timber Legality

Forest Law Enforcement, Governance and Trade Voluntary Partnership Agreement

(FLEGT VPA)

Voluntary Partnership Agreement (VPA)

To ensure that timber and timberproducts exported to the EU comefrom legal sources

To improve governance of the forestsector of timber-exporting countriesin accordance to the existing laws,regulations and policies

EU FLEGT Action Plan 2003

To prevent the importation of illegal timber into the EU

To improve the supply of legal timber

To increase demand for timber from responsibly managed forests

EU an established

and important

market for Malaysia’s:

• Timber products such as sawn timber; and

• High value added products such as furniture and joinery

13


Timber Legality

Malaysia started formal negotiation with the EU for the FLEGT VPA in 2007 whichaims to guarantee legal timber exported from Malaysia. This will ensure sustainedforest areas and eradicate illegal logging and associated timber trade.

In support of the European Union Timber Regulation (EUTR) effective 1 March2013, and pending conclusion for a FLEGT VPA, Peninsular Malaysia implementedTimber Legality Assurance System designated as MYTLAS, purely as Malaysia’sown initiative since 1 February 2013.

As of November 2017, a total of 54,368 MYTLAS licences has been issued byMTIB (Licensing Authority) for the EU market.

Since July 2017, under MYTLAS, it is compulsory for importers of timber andtimber products into Malaysia to submit one out of 6 legality documents fromexporting countries.

Continuation….

14


Timber Import Legality Requirement

• FLEGT licence; or

• Certificate issued by a recognized timber certification bodies; or

• Certificate of Voluntary Legality Scheme; or

• Any legality document issued by recognized Agency / Corporation / Association; or

• Self-declaration documents by the exporter with endorsement by the authorities of the exporting country; or

• Copy of the Customs Declaration from exporting countries.

COMPULSORY for importers to submit any one of the legality documents from exporting country into Malaysia as follows:

Continuation….

Timber Legality

15


3) Clean Development Mechanism (CDM): 2002

CDM: One of the three market mechanisms established by the KyotoProtocol since 2002. The CDM is designed to promote sustainabledevelopment in developing countries and assist Annex I Parties in meetingtheir greenhouse gas emissions reduction commitments.

It enables industrialized countries to invest in emission reduction projectsin developing countries and receive credits for reduction achieved.

Malaysia voluntarily participate in globally reducing emissions of GreenHouse Gases (GHG). There is 143 Clean Development Mechanism (CDM)projects registered with the CDM Executive Board since 2007. It is 1.9% ofthe world’s CDM project registered.

Up to December 2016, Malaysia has generated 10 million tonne creditfrom the implementation of the CDM. This has resulted an income ofUSD100million to the developers of CDM.

16


Due to public awareness on environment, both Federal and State governments withNGOs work hand-in-hand to meet environmental responsibilities to green up theenvironment.

During 2010-2017, a total of 20,669,144 mangrove tree species has been planted overan area of 6,938 ha in the mangroves.

Up to 2016, a total of 81,678,534 trees has been planted over an area of 102,709 hainvolving degraded and open spaces within the Permanent Reserve Forest (PRF)

MTIB is also involved in the Greener Earth Programme with TESCO (M) in promotingpublic awareness on the importance of protecting our environment. To date a total of200,000 Karas (Aqualaria spp.) trees have been planted in several sites in Pen.Malaysia demonstrating an exemplary public – private sector cooperation.

Under CITES requirement, MTIB has also registered a total of 117 companies /individuals with a total Karas (Aqualaria spp.) plantation area of 1,574 ha and 1.4million trees.

Continuation….

4) Tree Planting Programme

17


5) Enforcement Activities by Forestry Department Pen. Malaysia

Forestry Department Pen. Malaysia has actively implemented variousenforcement activities in order to eradicate illegal encroachment and illegallogging within the PRF. The activities carried out are:

Scheduled & integrated forest enforcement activities through the NationalBlue Ocean Strategy (NBOS) such as 1 Malaysia Biodiversity EnforcementOperation Network (1 MBEON), Centralized Enforcement Team (CET) andForestry Department Pen. Malaysia (FDPM) Enforcement Elite Team, whichare equipped with rugged motorcycle, fire arms & other safety equipment.

Monitoring of forest cover through the use of Remote Sensing Plus 5(FMRS+5) supported by drone, hyperspectral sensor, GeographicalInformation System (GIS) & Global Positioning System (GPS)

Continuous focused monitoring & enforcement activities in hotspot (highrisk) & identified illegal logging areas

18


6) The Central Forest Spine (CFS)

Malaysian Government’s initiative conceptualized in 2005 under thePhysical Plan (NPP) to link up 4 major forest complexes in Peninsularwith a network of ecological or green corridors to create oneforested wildlife sanctuary.

The Government also work together with NGOs such as MyCat,Nature Society (MNS) and WWF in improving the connectivity of CFS

19


7) Heart of Borneo (HoB)

In February 2007, the Governments of Brunei, Indonesia and Malaysia signed

a Declaration of Cooperation ; “Three Countries, One Conservation

Vision”.

The HOB Declaration commits the three countries to a common conservation

vision to ensure the effective management of forest resources and the

creation of a network of protected areas.

The HOB, an area of 22.0 million ha of tropical rainforest, across 3 countries

Purpose of the Corridor: To create corridors through well-managed forest

management areas and sustainable agriculture land uses

To form transboundary connected conservation areasthat link up protected areas between all three countries

To facilitate trilateral collaboration that enhancesconnectivity between protected areas from northernBorneo in Sabah to Southern Borneo through Sarawakand Brunei

20


8) Forest Plantation Development Programme (FPDP), MalaysianTimber Industrial Board (MTIB): 2005

Government’s aspiration – tree plantations should be private sector driven

The Ministry of Plantation Industries & Commodities (MPIC) was given

an important task by the Cabinet to undertake commercial forest plantationin Malaysia. Forest Plantation Development Sdn. Bhd. (FPDSB) a Specialwas set up in February, 2006 by the (MTIB) to implement the task.2007.

Provision of soft loans with low interest rate under the ForestPlantations Development Programme (FPDP) has encouraged more

participation of private sectors.

Targeted for development:

Establishment of 130,000 ha within 15 years (Rotation age = 15 years)

To attain production ≈ 3 million m3 /year

Currently, approximately 70 million plantation trees planted

21


Nine species recommended under FPDP are:

Hevea brasiliensis (Rubber TLC)

Acacia mangium & hybrids (Acacia)

Octomeles sumatrana (Binuang)

Azadirachta excelsa (Sentang)

Paraserianthes falcataria (Batai)

Neolamarckia cadamba (Kelampayan/Laran)

Khaya ivorensis (African Mahagony)

Tectona grandis (Teak)

Bamboo

Continuity of FPDP ensuresimprovement in future log supply situation;achieve the Nation’s target (NATIP) of being self-sufficient inthe production of raw materials for the local wood industries;

reduce pressure towards SFM of Natural Forests.

Continuation….

Forest Plantation Development Programme (FPDP)

3 year-old Hevea plantation

3 year-old Acacia plantation

3 year-old African mahogany plantation

(1981 – 2035)

2008 (Mil m3)

2021 (Mil m3)

2035 (Mil m3)

Natural Forest 20 18 14

Forest Plantation

2 8 15

Total Log Production

22 26 29

Domestic Demand

15 22 28

PROJECTION OF TIMBER RAW MATERIAL PRODUCTION & DOMESTIC DEMAND FOR TIMBER INDUSTRY

Source : FPDSB as at September 2017

REGION LOAN VALUE

(RM)

AREA

APPROVED

(HA)

TOTAL

PROGRESS

(HA)

PROGRESS (HA)

RUBBER ACACIA LARAN BATAI BINUANG AFRICAN

MAHOGANY

(KHAYA)

TEAK

PENINSULAR

MALAYSIA

470,622,806.23 58,688.77 56,980.60 53,980.60 2500.00 500.00 - - -

SABAH 287,905,493.08 29,154.01 28,751.02 25,101.26 1,995.76 500.00 500.00 654.00 - -

SARAWAK 93,053,570.76 29,500.00 29,500.00 818 19,892 3,200.00 - - - -

TOTAL 851,581,870.07 117,342.78 115,231.62 79,899.86 24,387.76 4,200.00 6,090.00 654.00 - -

TOTAL AREA PLANTED UNDERFPDP

24

Challenges in Carrying Out Zero

Deforestation

Financial implications

National/state development

policy

Stakeholders commitment

Sustainability vs

development

Enforcement challenges

Public awareness

25

Conclusion

Malaysia is among leading tropical countries that managed to retain forestscovering more than 50% of her land area, while still remaining one of majorproducers of timber and timber-related products – balanced development.

This is congruent with the pledge made in Rio Earth Summit in 1992 andConference of Parties (COP) in Copenhagen 2009.

Malaysia has demonstrated that sustainable management of forests andcontrolled conversion of forest to non-forest land area, coupled withreforestation activities through the establishment forest plantations, can helpoptimise land-use change, retained significant forest coverage in the country.

It also enhances the existing forest carbon stocks and simultaneously creatingnew carbon sinks in the form of forest plantations.

THANK YOU

www.mtib.gov.my

ありがとうございましたArigatōgozaimashita

Source : FPDSB as at September 2017

DEVELOPMENT RELEASED

TOTAL AREA APPROVED UNDER FPDP

MALAYSIA’ S EFFORT TOWARDS

Documents

Transcript of MALAYSIA’ S EFFORT TOWARDS